« previous next »

Author Question: Describe an arms race in economic terms. Is it rational for countries to participate in an arms ... (Read 127 times)

Coya19@aol.com

  • Hero Member
  • *****
  • Posts: 601
on: Jul 1, 2018
Describe an arms race in economic terms. Is it rational for countries to participate in an arms race?
 
  What will be an ideal response?

Question 2

If all conditions for a perfectly competitive market are met
 
  A) firms face sunk cost when entering the market.
  B) firms' demand curves are horizontal.
  C) the market demand curve is horizontal.
  D) the firms' demand curves are downward-sloping.


k.lashomb

  • Sr. Member
  • ****
  • Posts: 346
Reply #1 on: Jul 1, 2018
Answer to Question 1

An arms race is a prisoners' dilemma where it is in each participant's best interest to participate in an arms race and try to win the race. If the participants could agree to not participate, for example by signing treaties limiting military buildup, then both countries would be made better off. It is rational for countries to participate in an arms race even though it makes them worse off then they would be if they cooperated. That is because if they are lightly armed and their opponent is heavily armed and they get in a conflict they will suffer higher losses than if they were both armed and get in a conflict.

Answer to Question 2

B


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

There used to be a metric calendar, as well as metric clocks. The metric calendar, or "French Republican Calendar" divided the year into 12 months, but each month was divided into three 10-day weeks. Each day had 10 decimal hours. Each hour had 100 decimal minutes. Due to lack of popularity, the metric clocks and calendars were ended in 1795, three years after they had been first marketed.

Did you know?

The term pharmacology is derived from the Greek words pharmakon("claim, medicine, poison, or remedy") and logos ("study").

Did you know?

Over time, chronic hepatitis B virus and hepatitis C virus infections can progress to advanced liver disease, liver failure, and hepatocellular carcinoma. Unlike other forms, more than 80% of hepatitis C infections become chronic and lead to liver disease. When combined with hepatitis B, hepatitis C now accounts for 75% percent of all cases of liver disease around the world. Liver failure caused by hepatitis C is now leading cause of liver transplants in the United States.

Did you know?

Your heart beats over 36 million times a year.

Did you know?

The term bacteria was devised in the 19th century by German biologist Ferdinand Cohn. He based it on the Greek word "bakterion" meaning a small rod or staff. Cohn is considered to be the father of modern bacteriology.

Body Region Terms Body Region Terms
A fire safety plan like RACE saves lives. A fire safety plan like RACE saves lives.
Frequently Used Computer Terms Frequently Used Computer Terms
Terms Related to Abnormal Blood Pressure Readings Terms Related to Abnormal Blood Pressure Readings
economic question economic question
economic question economic question
Video: Premenstrual Syndrome

For a complete list of videos, visit our video library